1 day ago
Trump backs federal film tax credit after Hollywood tariff threats
President Donald Trump wants the government to help pay for some movies and television shows made in the United States.
He says too many productions have moved to countries such as Canada.
This has reduced work in Hollywood and hurt California, he said.
The proposed help would be a tax credit or rebate covering part of production costs.
It could be added to incentives already offered by states such as California, New York, Georgia, and New Jersey.
Supporters say this could bring productions and jobs back to American communities.
Actor Jon Voight encouraged Trump to support this approach.
Trump had previously discussed taxing foreign-made films instead, but that idea was criticized because it could increase costs and complicate international deals.
Now Trump is asking Republicans and Democrats in Congress to write a bill quickly.
President Donald Trump urged Congress to quickly create a federal incentive for film and television production in the United States.
Trump said Hollywood is struggling because productions have moved to Canada and other countries, harming California.
The proposed credit or rebate would cover a percentage of production costs and could supplement state incentives.
The Motion Picture Association and Representative Adam Schiff supported the proposal as a way to bring back jobs.
The plan replaces, for now, Trump’s earlier idea of imposing a 100% tariff on films made outside the United States.
- Who
- President Donald Trump, actor Jon Voight, the Motion Picture Association, entertainment lobbyists, and lawmakers including Representative Adam Schiff.
- What
- Trump endorsed creating a federal tax credit or rebate for film and television production in the United States.
- Where
- The proposal concerns production in the United States, particularly Hollywood and states competing with overseas production hubs.
- When
- Trump announced the support in a Truth Social post on Monday; lobbying had continued for months beforehand.
- Why
- Trump said production has moved overseas because of stronger incentives elsewhere, reducing American entertainment jobs and hurting California.
Federal Incentive Supporters
Critics Of The Previous Tariff Approach
How to restore production
Federal Incentive Supporters
Supporters say a federal tax credit or rebate could attract productions, recover overseas jobs, and complement state incentives.
Critics Of The Previous Tariff Approach
Critics of the earlier tariff approach argued that a 100% tariff on foreign-made films would raise costs and complicate international productions and distribution deals.
Bipartisan action
Federal Incentive Supporters
Trump, the Motion Picture Association, and Representative Adam Schiff support rapid bipartisan legislation.
Critics Of The Previous Tariff Approach
The articles do not identify organized opposition to the proposed tax incentive, but they note that the earlier tariff idea drew criticism from many parts of the industry.
Key facts
- Proposed policy
- A federal production incentive structured as a tax credit or rebate covering part of production costs.
- Trump’s request
- He urged Republicans and Democrats in Congress to act quickly.
- Earlier proposal
- Trump had floated a 100% tariff on films produced outside the United States.
- Existing state incentives
- California, New York, Georgia, and New Jersey offer state-level production incentives.
- States cited without incentives
- Florida and Michigan were identified as states without state-level film incentives.
- Industry response
- The Motion Picture Association welcomed the proposal, and Charles Rivkin called it a major step toward restoring production in American communities.
- International competition
- About 80 countries have adopted similar film and television tax tools.
Quotes
Donald Trump
US president who announced support for a federal film production incentive
“Congress should approve, immediately, a Federal Production Incentive to create Entertainment Jobs in America,”
thestatesman.com
“Hollywood is a Complete and Total Disaster!”
thestatesman.com
Sources
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